Core competency is a concept in management theory introduced by, C. K. PRAHALAD and GARY HAMEL.
It can be defined as "a harmonized combination of multiple resources and skills that distinguish a firm in the marketplace“
Core competency are the skills, characteristics, and assets that set your company apart from competitors.
They are the fuel for innovation and the roots of competitive advantage.
The engine for new business development, underlying component of a company’s competitive advantage created from the coordination, integration and harmonization of diverse skills and multiple streams of technologies.
Corporate level strategies are basically about the choice of direction that a firm adopts in order to achieve its objectives.
Corporate strategy is essentially a blueprint for the growth of the firm.
The corporate strategy sets the overall direction for the organization to follow.
It also spells out the extent, pace and timing of the firm’s growth.
Porter's Generic Strategies with examplesdipalij07
This Presentation is containing brief description of generic strategies with examples of companies in detail....
Hope it will be helpful to everybody....
Enjoy...!! :)
Corporate level strategies are basically about the choice of direction that a firm adopts in order to achieve its objectives.
Corporate strategy is essentially a blueprint for the growth of the firm.
The corporate strategy sets the overall direction for the organization to follow.
It also spells out the extent, pace and timing of the firm’s growth.
Porter's Generic Strategies with examplesdipalij07
This Presentation is containing brief description of generic strategies with examples of companies in detail....
Hope it will be helpful to everybody....
Enjoy...!! :)
this presentation pays attention to the to competitor analysis and how to conduct especially for an entrepreneur that's working on a shoe string budget.
this presentation pays attention to the to competitor analysis and how to conduct especially for an entrepreneur that's working on a shoe string budget.
Environmental scanning is a concept from business management by which businesses gather information from the environment, to better achieve a sustainable competitive advantage.
Environmental Scanning & Monitoring- Techniques
PEST, SWOT, QUEST
Management Strategy: The Core Competence of the Corporation.
Based on Harvard Business Review with same title article written by C.K. Prahalad and Gary Hamel
“Supercompetitors” are a new kind of market leader, gaining competitive advantage through the things they do better than anyone else—even amid the fierce competition and turbulence of many industries today. Learn more about how they do it: http://strat.bz/yhGHUWN
Management’s only social responsibility is to maximize profits by operating the business in the best interests of the stockholders. WTO
Expending the firm’s resources on doing “social good” unjustifiably increases costs that lower profits to the owners and raises prices to consumers.
Morph: A morph is simply the phonetic representation of a morpheme, how the morpheme is said.
Morpheme: Smallest meaningful unit, cannot be further divided or analyzed
Allomorph: Allomorphs are different forms of the same morpheme, or basic unit of meaning.These can be different pronunciations or different spellings.
This circuit is designed to indicate the level of water in any type of vessel (tank) to prevent the over flow of water and many other uses.
As the water level increases from the base of the tank, the number
of glowing LEDs with different colors increases subsequently.
Amount of water present in a water tank can be easily measured.
Design and development of horizontal tensile testing machine (5kN)Sajeed Mahaboob
In this project, a portable horizontal tensile testing system involving the use of a specially designed tensile specimen is proposed. The system developed was designed to convert the rotation motion of a ball screw into the linear motion of specimen grips that apply a tensile load to the specimen. The frame contains an aligned linear motion guide for the movement of the specimen grips, ensuring the co-linearity of the travel axes. One side of the specimen is connected to a ball-screw block and the other side is connected to a load-cell (which is static) to detect the load magnitude.
The natural fibers are renewable, non-abrasive, bio-degradable, possess a good calorific value, exhibit excellent mechanical properties and are inexpensive.
This good environmental friendly feature makes the materials very popular in engineering markets such as the automotive and construction industry.
The banana fibers are waste product of banana cultivation, therefore without any additional cost these fibers can be obtained for industrial purposes.
Acquire information is very important to the human species. Apparently, most if not all languages have developed some particular means dedicated to eliciting information, henceforth called interrogative constructions.
An interrogative construction is a grammatical form used to ask a question.
In this presentation slides I will discuss about Ocular tribology.
Ocular Tribology is concerned with the mechanisms of
contact lens lubrication.
There are three major driving forces in contact lens design
and development…
a. Cost
b. Convenience
c. Comfort
High Pressure Cylinders are vessels used to store fluids (gases or liquids) at a pressure substantially higher than ambient pressure. They are equipped with
hemispherical or torispherical end caps called heads.
Various fatal accidents have occurred in the history of manufacturing of high pressure cylinders; hence they are generally regulated by engineering authorities backed by legislation.
Acquire information is very important to the human species. Apparently, most if not all languages have developed some particular means dedicated to eliciting information, henceforth called interrogative constructions.
An interrogative construction is a grammatical form used to ask a question.
A boiler is a combination of systems and equipment in which chemical energy is converted into thermal energy, which is then transferred to working fluid, so as to convert it into steam at high temperature and pressure.
Corrosion is a relevant problem caused by water in boilers. Corrosion can be of widely varying origin and nature due to the action of dissolved oxygen, to corrosion currents set up as a result of heterogeneities on metal surfaces, or to the iron being directly attacked by the water.
While basic corrosion in boilers may be primarily due to reaction of the metal with oxygen, other factors such as stresses, acid conditions, and specific chemical corrodents may have an important influence and produce different forms of attack.
2. Elemental Economics - Mineral demand.pdfNeal Brewster
After this second you should be able to: Explain the main determinants of demand for any mineral product, and their relative importance; recognise and explain how demand for any product is likely to change with economic activity; recognise and explain the roles of technology and relative prices in influencing demand; be able to explain the differences between the rates of growth of demand for different products.
how to swap pi coins to foreign currency withdrawable.DOT TECH
As of my last update, Pi is still in the testing phase and is not tradable on any exchanges.
However, Pi Network has announced plans to launch its Testnet and Mainnet in the future, which may include listing Pi on exchanges.
The current method for selling pi coins involves exchanging them with a pi vendor who purchases pi coins for investment reasons.
If you want to sell your pi coins, reach out to a pi vendor and sell them to anyone looking to sell pi coins from any country around the globe.
Below is the what'sapp information for my personal pi vendor.
+12349014282
Lecture slide titled Fraud Risk Mitigation, Webinar Lecture Delivered at the Society for West African Internal Audit Practitioners (SWAIAP) on Wednesday, November 8, 2023.
Abhay Bhutada Leads Poonawalla Fincorp To Record Low NPA And Unprecedented Gr...Vighnesh Shashtri
Under the leadership of Abhay Bhutada, Poonawalla Fincorp has achieved record-low Non-Performing Assets (NPA) and witnessed unprecedented growth. Bhutada's strategic vision and effective management have significantly enhanced the company's financial health, showcasing a robust performance in the financial sector. This achievement underscores the company's resilience and ability to thrive in a competitive market, setting a new benchmark for operational excellence in the industry.
5 Tips for Creating Standard Financial ReportsEasyReports
Well-crafted financial reports serve as vital tools for decision-making and transparency within an organization. By following the undermentioned tips, you can create standardized financial reports that effectively communicate your company's financial health and performance to stakeholders.
What price will pi network be listed on exchangesDOT TECH
The rate at which pi will be listed is practically unknown. But due to speculations surrounding it the predicted rate is tends to be from 30$ — 50$.
So if you are interested in selling your pi network coins at a high rate tho. Or you can't wait till the mainnet launch in 2026. You can easily trade your pi coins with a merchant.
A merchant is someone who buys pi coins from miners and resell them to Investors looking forward to hold massive quantities till mainnet launch.
I will leave the what's app number of my personal pi vendor to trade with.
+12349014282
The European Unemployment Puzzle: implications from population agingGRAPE
We study the link between the evolving age structure of the working population and unemployment. We build a large new Keynesian OLG model with a realistic age structure, labor market frictions, sticky prices, and aggregate shocks. Once calibrated to the European economy, we quantify the extent to which demographic changes over the last three decades have contributed to the decline of the unemployment rate. Our findings yield important implications for the future evolution of unemployment given the anticipated further aging of the working population in Europe. We also quantify the implications for optimal monetary policy: lowering inflation volatility becomes less costly in terms of GDP and unemployment volatility, which hints that optimal monetary policy may be more hawkish in an aging society. Finally, our results also propose a partial reversal of the European-US unemployment puzzle due to the fact that the share of young workers is expected to remain robust in the US.
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the what'sapp contact of my personal pi vendor
+12349014282
how to sell pi coins in South Korea profitably.DOT TECH
Yes. You can sell your pi network coins in South Korea or any other country, by finding a verified pi merchant
What is a verified pi merchant?
Since pi network is not launched yet on any exchange, the only way you can sell pi coins is by selling to a verified pi merchant, and this is because pi network is not launched yet on any exchange and no pre-sale or ico offerings Is done on pi.
Since there is no pre-sale, the only way exchanges can get pi is by buying from miners. So a pi merchant facilitates these transactions by acting as a bridge for both transactions.
How can i find a pi vendor/merchant?
Well for those who haven't traded with a pi merchant or who don't already have one. I will leave the what'sapp number of my personal pi merchant who i trade pi with.
Message: +12349014282 VIA Whatsapp.
#pi #sell #nigeria #pinetwork #picoins #sellpi #Nigerian #tradepi #pinetworkcoins #sellmypi
Seminar: Gender Board Diversity through Ownership NetworksGRAPE
Seminar on gender diversity spillovers through ownership networks at FAME|GRAPE. Presenting novel research. Studies in economics and management using econometrics methods.
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...
The concept of Core Competency
1. THE CONCEPT OF
CORE COMPETENCY
A presentation by:
Sajeed Mahaboob
2011ME1111
1
Indian Institute of Technology Ropar
2. CORE COMPETENCY
Core competency is a concept in management theory introduced by, C. K.
PRAHALAD and GARY HAMEL.
It can be defined as "a harmonized combination of multiple resources and skills that
distinguish a firm in the marketplace“
Core competency are the skills, characteristics, and assets that set your company
apart from competitors.
They are the fuel for innovation and the roots of competitive advantage.
The engine for new business development, underlying component of a company’s
competitive advantage created from the coordination, integration and
harmonization of diverse skills and multiple streams of technologies.
2
3. COMPETENCIES DO NOT MEAN
Outspending competitors on research and development
Cost sharing among SBU’s
Vertical integration
3
4. Roots Of Competitive Advantage
Consolidate corporate wide tech. & production skills
Binds the existing business and an engine of new business development.
Involvement and a deep commitment to work across organizational boundaries.
4
5. IDENTIFYING YOUR CORE
COMPETENCIES
Prahalad and Hamel suggest three factors to help identify core competencies in
any business:
1. Provides potential access to a wide variety of markets
2. Makes a significant contribution to the perceived customer benefits of the
end product
3. Difficult for competitors to imitate
5
6. 1. Provides potential access to a wide variety of markets
The key core competencies here are those that enable the creation of new products and
services.
Example: Why has Saga established such a strong leadership in supplying financial
services (e.g. insurance) and holidays to the older generation?
Core Competencies that enable Saga to enter apparently different markets:
- Clear distinctive brand proposition that focuses solely on a closely-defined customer
group
- Leading direct marketing skills - database management; direct-mailing campaigns; call
center sales conversion
- Skills in customer relationship management
- ITC
6
7. 2. Makes a significant contribution to the perceived
customer benefits of the end product
Core competencies are the skills that enable a business to deliver a fundamental customer
benefit - in other words: what is it that causes customers to choose one product over
another? To identify core competencies in a particular market, ask questions such as "why is
the customer willing to pay more or less for one product or service than another?" "What is a
customer actually paying for?
Example: Why have Amazon been so successful in capturing leadership of the market
for online book shopping?
Core competencies that mean customers value the Tesco.com experience so highly:
- Designing and implementing supply systems that effectively link existing shops with the
Amazon.com web site
- Ability to design and deliver a "customer interface" that personalizes online shopping and
makes it more efficient
- Reliable and efficient delivery infrastructure (product picking, distribution, customer
satisfaction handling)
7
8. 3. Difficult for competitors to imitate
A core competence should be "competitively unique": In many industries, most skills
can be considered a prerequisite for participation and do not provide any significant
competitor differentiation. To qualify as "core", a competence should be something
that other competitors wish they had within their own business.
Example: Why does Dell have such a strong position in the personal computer
market?
Core competencies that are difficult for the competition to imitate:
- Online customer "bespoking" of each computer built
- Minimization of working capital in the production process
- High manufacturing and distribution quality - reliable products at competitive prices
8
9. Losing Core Competencies
How to lose: A Core Competency is lost:
Through outsourcing/OEM-supply relationships
=> Example: Chrysler vs Honda
(Chrysler unlike Honda considered its engines and power trains as simply another
component and started outsourcing)
Through giving up opportunities to establish competencies that are evolving in
existing businesses
=> Example: television business
9
10. More About…
STRATEGIC ARCHITECTURE
Company’s future is determined by it’s core competencies. These competencies
define the architecture and characteristics of the global competitive firm.
BOUNDARY LESS ORGANIZATION
In the old diversified corporation, ideas and technologies are reluctantly shared from
one SBU to the next, if at all.
Boundaries seem transparent when SBU’s share core competencies and core
products. These resources come from the firm.
RESOURCE ALLOCATION
When core competencies are the roots of the firm, specialized employees and core
products can be allocated to various SBU’s.
At Maruti, specialized employees move between camera and printer products
regularly.
10
11. INNOVATION
Using core competencies, new technologies can be developed without heavy R&D costs.
Fiat: Drive your way; Maruti Suzuki : Count on us; Hyundai: New thinking new possibilities;
Honda: Off-road buggy; Ford: Go further
COMPETENCE BUILDING
The focus of today’s global firm should be in competence building.
Constantly improving competencies provides for new integrated technologies.
Competencies provide focus for long-term goals.
COMPETITIVE ADVANTAGE
Short-term market share can be won by anyone with a good idea.
Race to get products on the shelf.
Long-term success involves competency structured organizations, innovation, and market
consistency.
Same core products, integrated into new end products, creating new markets.
11
13. THE LOSS OF CORE COMPETENCIES
Cost-cutting moves sometimes destroy the ability to build core competencies. For
example, decentralization makes it more difficult to build core competencies because
autonomous groups rely on outsourcing of critical tasks, and this outsourcing prevents
the firm from developing core competencies in those tasks since it no longer
consolidates the know-how that is spread throughout the company.
Failure to recognize core competencies may lead to decisions that result in their loss.
For example, in the 1970's many U.S. manufacturers divested themselves of their
television manufacturing businesses, reasoning that the industry was mature and that
high quality, low cost models were available from Far East manufacturers. In the
process, they lost their core competence in video, and this loss resulted in a handicap
in the newer digital television industry.
Similarly, Motorola divested itself of its semiconductor DRAM business at 256Kb level,
and then was unable to enter the 1Mb market on its own. By recognizing its core
competencies and understanding the time required to build them or regain them, a
company can make better divestment decisions.
13
14. IMPLICATIONS FOR CORPORATE MANAGEMENT
Prahalad and Hamel suggest that a corporation should be organized into a portfolio
of core competencies rather than a portfolio of independent business units.
Business unit managers tend to focus on getting immediate end-products to market
rapidly and usually do not feel responsible for developing company-wide core
competencies. Consequently, without the incentive and direction from corporate
management to do otherwise, strategic business units are inclined to underinvest in
the building of core competencies.
If a business unit does manage to develop its own core competencies over time,
due to its autonomy it may not share them with other business units. As a solution
to this problem, Prahalad and Hamel suggest that corporate managers should have
the ability to allocate not only cash but also core competencies among business
units. Business units that lose key employees for the sake of a corporate core
competency should be recognized for their contribution.14
15. CORE PRODUCTS
Core competencies manifest themselves in core products that serve as a link
between the competencies and end products. Core products enable value creation
in the end products. Examples of firms and some of their core products include:
• Canon - laser printer subsystems;
• Honda - gasoline powered engines;
• Black & Decker - small electric motors
Because firms may sell their core products to other firms that use them as the basis
for end user products, traditional measures of brand market share are insufficient
for evaluating the success of core competencies. Prahalad and Hamel suggest that
core product share is the appropriate metric. While a company may have a low
brand share, it may have high core product share and it is this share that is
important from a core competency standpoint.
Once a firm has successful core products, it can expand the number of uses in
order to gain a cost advantage via economies of scale and economies of scope.
15
17. Case Study 1: HONDA MOTOR CO.
It is a Japanese multinational corporation primarily known for automobiles and
motorcycles.
It is the largest manufacturer of motorcycles and internal combustion engines
measured by volume producing more than 14 million internal combustion engines
in an year.
Apart from core automobiles and motorcycles Honda are also manufacturers
garden equipment, marine engines, personal watercrafts
They have recently ventured into the aerospace industry with GE Honda Aero
engines. The Honda jet was scheduled in 2011.
17
18. CORE COMPETENCIES OF HONDA
R&D
FINANCIAL RESOURCES
MANUFACTURING
COMBINATION OF CORE COMPETENCIES LET TO CORE PRODUCT i.e.
ENGINES WHICH THEY DIVERSIFIED INTO VARIOUS BUSINESS LIKE
AUTOMOBILES,MOTORCYCLES,POWER PRODUCTS,HONDA JETS AND
ROBOTICS.
18
19. Case Study 2: Black & Decker
Black & Decker 's core technological competency pertains to 200 to 600 W electric
motors , and this motor is their core product . All of their end products are modifications
of this basic technology, with the exception of their work benches, flash lights, battery
charging systems, toaster ovens, and coffee percolators.
They produce products for three markets:
• The home workshop market: In the home workshop market, small electric motors
are used to produce drills, circular saws, sanders, routers, rotary tools, polishers, and
drivers.
• The home cleaning and maintenance market: In the home cleaning and
maintenance market, small electric motors are used to produce dust busters, etc.
• The kitchen appliance market: In the kitchen appliance market, small electric
motors are used to produce can openers, food processors, blenders, bread makers,
and fans.
19
20. Summary
Learn your competencies
Develop your competencies
Structure your organization around your competencies
Involve core products in all end products
Outsource non-competencies with strategic alliances and licensing.
20
21. “
”
If you don't have a
competitive advantage, don't
compete
- Jack Welch
21
22. “
”
“ The ability to learn faster than
your competitors may be only
sustainable competitive
advantage.”
- Arie De Geus
22
23. References:
Article Study sent by you
Gary Hamel and C. K. Prahalad, (1990) “The Core Competence of the Corporation”
Harvard Business Review , vol. 68, no. 3, May-June 1990, pp 79-93.
http://www.quickmba.com/strategy/core-competencies
http://www.tutor2u.net/business/strategy/core_competencies.htm
23
Engines are the core products to which design and development skills are directed that result in end products-cars & motorcycles
vertical integration is an arrangement in which the supply chain of a company is owned by that company
OEM- original equipment manufacturure – a company that makes a part i.e. used in another companies end pdt.
Developing Strategic Architecture >A road map of the future >Consistency in resource allocation & development of appropriate administrative infrastructure >Cannot be copied by competitors